Green certificates sales down 32 per cent on power exchanges in June

Sale of renewable energy certificates has declined by about 32 per cent to 8.96 lakh in June on Indian Energy Exchange and Power Exchange India Ltd as compared to 13.15 lakh in May this year, as per official data.

The renewable purchase obligation (RPO) is mandated by central/state regulatory commission and is applicable to power distribution companies, open access consumer and captive consumers. They are under obligation to buy RECs from renewable energy producers to meet this norm.

The auction of renewable energy certificates (RECs) is conducted once by the two exchanges on the last Wednesday of every month.

The IEX and PXIL sold 5,09,744 and 3,86,485 RECs, respectively, totalling 8,96,229 RECs for the month of June in the auction conducted yesterday, as per the official data released by the exchanges.

"In the trading session held on 27 June, 2018, the Indian Energy Exchange saw total trade 5.09 lakh RECs comprising of 2.22 lakh Non-Solar and 2.88 lakh Solar RECs.

"The distribution companies were the major buyers in this trading session followed by captive power producers and open access consumers who came forward to fulfil their RPO compliance," an IEX statement said.

Last month, PXIL and IEX had sold 5,98,170 and 7,17,456 RECs, respectively, totalling 13,15,626 RECs, as per data available on both the exchanges.

"PXIL attained market share of 51 per cent in Solar segment, nearly 3.86 lakh RECs were cleared leading to overall market share of 43 per cent. Prior to today's auction more than 19.7 lakh non-Solar RECs and 44.2 lakh Solar RECs were available in the market for trade," PXIL said in a statement.